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College Graduate vs. Non-Graduate Earnings

The U.S. Department of Education's National Center for Education Statistics (NCES) analyzes employee earnings data biennially, according to education level. Findings indicate that workers with a college degree earn significantly more than those without. Since the mid-1980s, education has played a large part in potential wages, with bachelor's degree holders taking home an average of 66% more than those with only a high school diploma do. While college-educated workers' wages have increased over the past two decades, those with only a high school education have seen decreases in annual salaries in the same time period (nces.ed.gov).

The Cost of a Degree vs. the Potential Payoff

Considering the high cost of a college education, potential students may question whether the expected earnings after graduation outweigh the possible debt incurred from student loans. In 2002, the Census Bureau projected lifetime earnings of employees with a bachelor's degree and those without. Non-degree holders could expect to earn 75% less than a bachelor's degree holder, who could expect to earn $2.7 million over their lifetime.

Types of Degrees vs. Annual Salaries

The NCES' Digest of Education Statistics differentiates between median employee income based on level of education. In general, 4-year college graduates took home higher median salaries than those with a high school education. However, the type of college degree and gender of the degree holder also impacted earnings, as shown in the table below:

Type of Degree

Annual Median Salary (2011)

Gender

High school diploma

$40,050

Men

High school diploma

$30,010

Women

College with no degree

$47,070

Men

College with no degree

$34,590

Women

Associate degree

$50,930

Men

Associate degree

$39,290

Women

Bachelor's degree

$66,200

Men

Bachelor's degree

$49,110

Women

Master's degree

$83,030

Men

Master's degree

$60,300

Women

Professional degree

$119,470

Men

Professional degree

$80,720

Women

Doctorate degree

$100,770

Men

Doctorate degree

$77,460

Women

Occupations With the Highest Salaries

Many white-collar occupations require applicants to hold at least a 4-year degree, and some require more advanced degrees. In a 2013-2014 report, PayScale.com provided salary information for top-paying occupations based on employees that held only a bachelor's degree. All schools across the nation were included in the poll, and posted earnings incorporated full compensation, such as bonuses and other financial benefits. A sample of the top 10 highest-paying occupations by undergraduate major includes: